Land sale and lease prices continue upwards – IPAV farming report 2025

Keen competition from a range of sources, farming and non-farming, along with constrained supply led to further increases in land and lease prices during 2025, according to the latest Farming Report from IPAV, the Institute of Professional Auctioneers and Valuers.

Munster was, however, an exception when demand for land prices softened in the latter half of the year as a result of milk price cooling.

Average price per acre across the provinces (2024; 2025): Leinster €16,529; €17,333; Connacht €9,750; €10,667; Ulster €12,625; €13,667; Munster €17,162; €16,100.

Nationally, the average price for an acre of agricultural grazing land rose to €14,442, up from €13,949 in 2024, representing annual growth of 3.5%. The average forestry per-acre price rose to €6,602 from €6,407 (+3%), despite ongoing challenges including extensive storm damage and continuing issues around licensing.

In the rental market, con-acre rates continued to move upward, averaging €287 per acre (up over 4%), while long-term grazing leases increased by 4.7% to €313 per acre.

Tillage leasing land was making an average of €292 per acre, only marginally lower than 2024.

The IPAV Land Survey suggests the market in 2026 will continue to see tight supply with the move from con-acre to longer leases restricting supply, and competition for well-located, high-quality parcels of land remaining intense.

During 2025, Leinster had a more positive experience than elsewhere with regard to supply, and probate sales featured strongly. Here and elsewhere probate, retirement and executor sales are strong features of the market.

LEINSTER

Leinster posted another year of strong values remaining the highest-priced province on average in 2025. Prices strengthened from €16,529 per acre to €17,333 per acre, up 4.9% on the previous year. Commentary by Leinster agents suggests investor demand is particularly influential, alongside strong competition for smaller parcels and prime land located close to dairy units.

Forestry remains relatively stable at €7,125 per acre.

In several districts, the decision by landowners to let rather than sell continues to constrain supply and is driving prices for scarce offerings. The leasing market is increasingly dominated by multi-year arrangements with an average of €334 being paid for land in this category across the province with some agents recording prices well over €400 per acre. Con-acre forms a small share of available rental land and achieved an average of €298 per acre. Leinster has a strong tillage sector and while the average per acre price for tillage land came in at €307, vegetable and potato ground was making much more than that.

IPAV agent commentary - Leinster:

Stephen Barry of Raymond Potterton auctioneers says land values continue to be driven overwhelmingly by investor demand, particularly investors motivated by the tax advantages of agricultural relief to facilitate intergenerational wealth transfer. He expects this incentive to remain the dominant factor underpinning prices over the next 12 months.

Stephen Gunne reports that supply in the northeast is slightly down on last year, but prices for good land have strengthened, For the coming year, he sees little to weaken demand and identifies key drivers as expansion by stronger farm enterprises, buyers from north of the border, and business interests attracted by land’s long-term stability.

David McDonnell describes 2025 Westmeath land market as buoyant, with a good supply of land coming to the market, largely prompted by probate sales. He notes that auction clearance rates have been strong with most properties selling under the hammer. On leasing, he said that larger farmers, often under increasing nitrates pressure, are willing to pay higher rates and tend to prefer long-term leases over con-acre, with landlord tax incentives continuing to push these longer lease terms.

Anne Carton notes no major change in the supply of land for sale across South Wexford and South Kilkenny but emphasizes that many landowners are choosing to lease rather than sell, which limits sales supply. Despite that, demand, especially for 20-to-30-acre parcels, is exceptionally strong, with prices reaching as high as €26,000 per acre for such blocks. She identifies dairy expansion and investor interest in land as a safe long-term asset as the key forces driving values.

Clive Kavanagh report limited supply of land for sale in Kildare because long-term leases are effectively postponing selling decisions. They also see limited availability to rent, as many leases are already in place and being rolled over. For the next 12 months, they expect prices to remain strong, supported by the combination of constrained supply and continued interest from active buyers, investors, and lifestyle purchasers.

Ella Dunphy says average land prices in the Kilkenny area rose by about 9% in 2025, with prime, good-quality agricultural land making premium prices, particularly where parcels are neighbouring dairy and tillage farms. She adds that prices are being shaped by differing outlooks across sectors - stable tillage expectations, softer milk prices but persistent premiums for quality dairy land (sometimes exceeding €30,000 per acre), and rising forestry values supported by government incentives.